#cryptonews
The UK government has initiated a consultation to evaluate a potential ban on ransomware payments for operators of critical national infrastructure.
The proposal, unveiled by the Home Office on January 14, suggests a “targeted ban” to include sectors such as energy, healthcare, and local councils, expanding on the existing prohibition for government departments.
“These proposals help us meet the scale of the ransomware threat, hitting these criminal networks in their wallets and cutting off the key financial pipeline they rely upon to operate,” Jarvis stated. The Home Office clarified that the proposed measures would make essential services less attractive targets for cyberattacks.
UK Security Minister Dan Jarvis said the proposal aims to bolster national security by cutting off financial resources for cybercriminals.
In January 2023, the Royal Mail suffered a ransomware attack that disrupted international shipping operations, while an August 2022 breach at Advanced Computer Software Group exposed the personal data of nearly 83,000 individuals.
A mandatory reporting framework for ransomware incidents is also under consideration to enhance law enforcement’s ability to track and dismantle repeat offenders.
Additional elements of the proposal include establishing a regime to prevent ransomware payments by providing victims with guidance and mechanisms to block payments to known criminal groups and sanctioned entities.
The UK has been among the countries that have ramped up regulatory efforts following some high-profile bankruptcies last year.
In September, the UK government introduced a new bill aimed at clarifying the status of digital assets, including non-fungible tokens (NFTs), cryptocurrencies, and carbon credits, as “things” and “personal property” under the nation’s property laws.
Last year, the FCA implemented new rules that require crypto firms to register with the financial regulator and have their marketing materials approved by an FCA-authorized firm. Key updates include exchanges providing clear warnings to customers about the risks associated with crypto investments.
The Financial Conduct Authority (FCA) oversees crypto activities, focusing on anti-money laundering measures and consumer protection.